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Russia Shocks With Emergency Rate Hike, Boosts Interest Rate From 10.5% To 17%
Following the biggest rout to the Ruble in ages, Russia - unlike Mario Draghi - instead of talking the talk decided to walk the bazooka walk and shocked all those long the USDRUB by unleashing an emergency rate hike (at 1 am in the morning) from the recently raised interest rate of 10.50% to... hold on to your hats... 17.00%, a 650 bps increase!
From the press release:
The Board of Directors of the Bank of Russia has decided to increase from December 16, 2014 the key rate to 17.00% per annum. This decision was driven by the need to limit significantly increased in recent devaluation and inflation risks.
In order to enhance the effectiveness of interest rate policy loans secured by non-marketable assets or guarantees for a period of 2 to 549 days from 16 December 2014 will be granted at a floating interest rate established at the level of the key rate of the Bank of Russia increased by 1.75 percentage points (Previously these loans for a period of 2 to 90 days, provided at a fixed rate).
In addition, to enhance the capacity of credit institutions to manage their own currency liquidity was decided to increase the maximum amount of funds to repurchase auctions in foreign currency for a period of 28 days from 1.5 to 5.0 billion. US dollars, as well as on similar operations for a period of 12 months on a weekly basis.
And for the Russian-speakers, the full breakdown of rates.
Few markets are open but the 1month forward Ruble market just dropped (Ruble rallied) over 2.5 handles...
RSX (ETF) is starting to rally after-hours...
Chart: Bloomberg
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They must have a lot of money in russia, worked for volker.
good lick with that view
Russia needs to realize that the only way to stop the fall is to make it unprofitable to short the Ruble. I suggest a devaluation to 100, and stop import from enemy nations.
Well the Saudis got his attention.
Now what?
Seperate capital and trade accounts, and make the capital account non-convertable. Then peg the ruble with the yuan.
Stop all import and export with the enemy nations. Then free the nations sponsoring terrorism, eg Saudi Arabia.
Capital likey 17% return.
I am waiting for 30%
Ahh the wise Central Bankers. Previous hikes weren't enough, so lets go for a full fib increase. That should scare the algo sellers.
Standard banking 101. Kill the bad investments, attract capital, reboot. It will pay off in 18 to 30 months.
China should follow shortly.
In Russia, BANKS pay YOU.
Look.
Fuck your mom, fuck your cat and fuck you!
BUY BITCOIN!!!
https://btc-e.com/
It's HIM, isn't it?
I'm afraid it's true. (shaking head)
its not me...i promise.
if it was me, i would be offering a referral link to a bitcoin faucet. but they started forcing you to view ads. so fuck them.
leroy jenkins!
I can't wait for Russia to back their currency with gold. Checkmate.
fuck the bankers. the stench of their chicanery overwhelms.
6 million tribe thieves just shat their pants.
History Repeating?!
1998
March - Yeltsin dismisses prime minister and his cabinet and replaces with a 35 year old.
May - 100 basis point increase by central bank to defend ruble; strikes by union workers over unpaid wages
July - $22B offered by IMB + Worldbank to swap short term debt with long term euro bonds...$5B are stolen; Yeltsin promotes Putin to security chief;
August - Russia defaults on her debt; 90 day moratorium on debt payments; central bank voids rub-usd spot trades
September - Russia abandons RUB/USD exchange rate bands and float the ruble freely eventually losing 2/3 of rubles value within a month.
October - Russia appealed for humanitarian aid with 84% inflation rate in 1998
1999
May - attempted impeachment of Yeltsin
August - Yeltsin promoted Putin to be his successor
December - Yeltsin resigns with approval rating of 2%
2014
Central bank hikes up interest rate by 650 basis points
Italian soccer coach for Russia complains he hasn't been paid since June 2014. Russia will be hosting 2018 world cup.
.....
Boris Berezhovsky was kingmaker and feared FSB retaliation when Yeltsin died so they needed FSB man to take over and grant Yeltsin family immunity from trial for corruption and treason. Berezhovsky thought he could control Putin and had Litvinenko as his choice to head FSB once Putin moved up.
Oligarchs thought Russia was Africa or Mexico and have no learned a lesson. The USA is itching for the war they could not have in the 1950s......it is time to contemplate a post-nuclear-strike USA which will b e somewhat different from minor incidents like 9/11
may 2015
What do you expect with someone whose name seems to have something to do with being the original anal gangster?
Hey we bees in advertising forcing wills on people for 36 years. Own families still not talk to eponymous estranger for suffrage of $12,000 off BTC highs. Promise the moon, found in the gutter. Now yous come round and saying we do all we wrong? Fuck we!
Hi bunzbunzbunz! It's been a long time! 'Member when we wuz young and we used to go down to the creek and pick up junk?
even tho' i'm pretty sure that was aimed at me .... i don't really hate fonestar. not nearlly as much as i miss boris.
.. and fuck your husband, cuz they're rapin errbody out here
No matter how rude and ignorant you are; I still refuse to BUY BITCOIN !
Hey fuct you. We tell you to buy and you do not buy? Why you not to go to not buy? Bitcoin rally to $3,000 next.
Wrong viewpoint .... what you mean is that USD will collapse to $3000/BTC next... hyperinflation against sound money.
fonestar... is that you?
We is you. You is in we. We think we ban we? We think badly of factly. Shirley yessly.
you bring notin here, go away
Don't talk shit about grumpy cat.
At these prices the russian bonds are a better deal.
So, Analog/Fonestar finally came out of the closet.
In Russia, BANKS pay YOU.
b
+1,000,000,000,000
The Western CBs are about to visit "Waterloo"!
yellen is counter-punching with a 1 basis point hike
*cut
Next announcement: Hey Europe you dumb bunch of fucks we're only taking GOLD for Gas now.
Was that just a gas explosion I heard?
Why? then they wouldn't sell any...
I hope for the world's sake that this, and any other moves Russia has up her sleeve works...
The idea of a global pax Americana might have seemed cool to me as a kid but a global pox Amerikano does NOT.
Any captured megastate like ours can only bring absolute global corruption to match its absolute power.
and in the spirit of christmas: "You're...the Board here. You do what you want with this thing. There's just one thing more, though. This world needs this measly Slavik institution if only to have some place where people can come without crawling to Goldman. Come on, Uncle Billy!"
palmdetroit
+ 1
Good observation.
The "Law of Unintended Consequences" works both ways...
If Russia were to do that for long, the USA could revitalize its own gas exports to Europe. Yes, the USA has plenty, bump that price up a bit, Russia, and Pennsylvania, Texas, Louisiana, Oklahoma, West Virginia and many other states would thank you very highly!
* * *
Lower ruble and lower hydrocarbon prices both mean Russia can import less gold. And there would be pressure to export more gold from Russia.
Less gold demand from Russia? Lower prices for us...
They would be dancing in the streets in Pennsylvania if Russia did that. If Russia were smart it would back ruble with oil once it hits bottom in a few months. 2500 rubles gets you one barel of oil. Then smile as they watched all the money buying rubles in order to park money in oil cheaply.
God DAMN this season of the 'Great Game' is exciting. I just wish the stakes were lower so that I could be enjoying the show, instead of developing a Maalox habit.
I picked the wrong day to quit..... https://www.youtube.com/watch?v=aRzzSHRAGYk
Here is the score card so far.
Russia gains Crimea. Russia loses it's currency - mostly little people suffer with inflation. The rich most likely planned ahead and have hard assets.
US loses some of shale industry and some junk debt. Longer term may lose petro dollar.
I'd call it a draw at this point. To the Russian people, life sucks again. But I don't think there was any choice. Nato was going to continue presssing and a line had to be drawn somewhere.
right; 17 pa when your ccy lost 50%+ of it's value.
go get their money...
I would agree with you if inflation in Russia was running at 50% which it isn't.
I would also agree with you if the net debt situation, the debt to GDP ration and other metrics were also worse than they are in the USA which they are unfortunately aren't.
I would also agree with you if this change in the value of the ruble was driven by fundamentals rather than politics and the cheap money strategies of the FED which have spawned the shale oil "miracle" which is now travelling towards an immovable wall.
Well...in Cyprus anyway. But who's counting?
That's fucking intersting, Man!
https://www.youtube.com/watch?v=UhJOx_4WSzg
BANKING 101 INDEED.
Pay an interest rate to attract fresh capital, protect against FX currency risks, Put the capital to productive use to generate REAL output - not excess reserves for the bankers to park with the Fed to earn 25 bps.
Check against Oblamo - hopefully, not Check Mate (ever for our sake).
Yes, brilliant strategy for any country, pay 17% interest. In financial circles this exotic policy maneuver is called begging.
It used to be called killing inflation. How times have changed. By the way, your present day financial circles suck, and are about to be taught a painful lesson...
The problem with the fight inflation aspect is Russian QE behind the scenes pouring rubles into Russian comapnies is more then offsetting the deflationary impact of 17% rates. The Russian elite is protected by the QE of ruble printing while the russian peasant class gets double stomped by intrest rates and inflation. Putin is raping the russian people in order to keep his cronies and his own personal dreams of rebuilding the USSR alive. The worst case scenario predicted by zerohedgers for US and Europe is in fact happening in Russia right now.
Funny how protecting Russian speaking people from genocide by a George Soros, US State dept backed junta becomes in you mind the dream of rebuilding the soviet union. NATO expanded to Russia's borders, not the other way around.
Maybe you are yet another USSA/hasabara troll that joined ZH after the anti-Russia propaganda campaign started to push the "Putin is an evil, terrible, horrible monster" theme? Cuz that campaign started before the Sochi olympics around the same time when Goldman downgraded Sberbank - about 4 months before you logged in for the first time.
Angry Plant (anti-Putin troll)The problem with the fight inflation aspect is Russian QE behind the scenes pouring rubles into Russian comapnies is more then offsetting the deflationary impact of 17% rates. The Russian elite is protected by the QE of ruble printing while the russian peasant class gets double stomped by intrest rates and inflation. Putin is raping the russian people in order to keep his cronies and his own personal dreams of rebuilding the USSR alive. The worst case scenario predicted by zerohedgers for US and Europe is in fact happening in Russia right now.
Aparently my double post is harbinger of coming Russian hyper inflation.
the reason having leaders with family connections as their priority number one is because betraying the people you rule is part of your assignment.
Those that fall in love with their countrymen, (khaddafi) ect, rebel and have to go. Putin must be valued by his family, as he is scripted to look like the hero as he plays his part.
No getting rid of that large crowd, but some songs try....
https://www.youtube.com/watch?v=Re_XSIJubZA
.
Indeed , why didn't they go 100% ? or more ? Obvious sign of 'strength' here and not fear....
And just when P was going to have half the GDP as.. failifornia? or was it Alabama? ... heyyyyy wait a minute ... why is this news ?
The criminal gangs with all the guns....they don't beg. They throw people in gulags.
In this case, it's Gitmo
you can't bring your PMs to the FEMA camp
Well... you might be able to bring PMs, extrapolate the instructions that follow: https://www.youtube.com/watch?v=YFtHjV4c4uw
Paul Volcker was called a genius for doing it.
Better rates at some pay-day loan places.
But anyway… Carry trade the Ruble.
Well...yes and no.
Since the Ruble is worthless currency, paying out 17% interest is ... worthless.
So its really just a way to entice foreign invements (or keep the existing investors from leaving Russia).
Since the Ruble is pure fiat there are no 'real' repercussions from 17%, 18%, 20% or 25% interest.
Its like Judo and your opponent is fiat backed without any substance, but they look mean and big.
In the meantime Russia is expanding production of oil, natgas, gold and other minerals.
(i.e. real tangibles)
beg to differ
I know there are some Ruski lovers on here and I am not a fan of my government by any means. That said unless this is a complete fluke it looks like the Russians took on the US and are getting schooled in the economic arena. If their move was to buy gold and sell treasuries they may be playing tick tack toe while the US is playing chess. This comes from someone buying PM's hand over fist, but the way things are going the Russians will not have an economy or functioning government before long, and their gold may not do them much good then. I take that back it may be one of the few things of value they have but still won't make a dent in the ruin they are entering.
Again might be a coincidence but the US put on sanctions, maybe a deal with the Saudi’s and possibly plenty of other stuff behind the scenes and the Russians are a stones throw away from a depression.
Its economics in the west and its Realpolitik in the east. Interesting game to watch. I just hope I am not dragged into the fukin' game.
If you live in the Northern Hemisphere, and breathe, there's a fair chance you will be.
neah, the brits sneaked Lamont in.
rofl, 17% interest rate... they must truly be desperate. Pity that noone will buy their bs; what's left of their econ. will die in 3 months at that rate...
won't even reach 50. Sell the dead cat.
I'm sure 'lil P will be pushing out even more articles on how great gold is... they gonna need to sell a bunch to the greater F...
Desperate like Volcker when he raised rates to 17% to kill inflation rofl
Russians are selling oil, not bs like the US and EU. China and India have a huge need for Russian oil and gas. So does the EU. Winter is coming and there is no NG pipeline from the US to EU. What do you d, what do you do? Buy from Russia and piss off obama/neocons or freeze to death?
I didn't hear anyone stopped buying oil from Russia, so I miss your point. Yes, people will keep buying from Russia at 1/2 or 1/3 of the price they paid before. It's not even like there's I don't know what embargo on Russia anyway. Oil is half price, their ccy is half price. Beside resources, they have nothing even remotely close to an economy. Their CB is just choking off the econ. some more...
also, comparing with what Volcker did is ridiculous. That was a decade when the American Empire probably was at it's apex. It was by far the biggest econ. on the planet at that time. It started going down the drain in the '80s, but these things take decades. Russia is a 2nd hand economy. They have nothing to do with each other. Plus Volcker didn't raise because the dollar lost 10% of it's value in one day...
Over the weekend Medvedev said that the Ukrainian gas deal wasn't final and that Ukraine had better be punctual in their prepayment Jan.1, 2015.
I wish the Ukrainians woiuld wake up and kick these phoney bastards out of their capital city and apply for admission to the Russian Union; where they could get some sort of a fair shake as part of a functioning economy; All their "friends" in NATO are going to offer is more tears and poverty.
Perhaps Putin started stacking because he knew this was coming, and wanted to get rid of some Rubles before it started. Whoever sold Russia that gold lost a lot of money if they kept the Rubles.
How is it that the media says that Russians are suffering from the lower exchange rate, and at the same time say that Japan is benefitting from it?
This is planet Nobel Ponzi, there is no such thing as a Depression.
What you say bwh is true up to a point. However, the base metric used in the analysis of this situation is the dollar. It doesn't take a rocket scientist to understand the present dollar value is being derived from military aggression. What Russia is doing is making a calculated move that the dollar has seen its better days and can no longer be supported by military behavior. The analytical tools are using bogus paper to represent value when in actuality the value resides in the commodity. In this game it all comes down to timing and when to make a move. Russia, along with a good number of other significant countries are claiming there needs to be a new measuring stick.
If the dollar is factored out of the equation how is the value of a barrel of oil affected? A barrel of oil today is a barrel of oil tomorrow. The measuring stick should be the barrel of oil, and the cost of producing it, not a piece of paper fiat currency. The question at this point is what metric is used to calculate cost of production. To me economics is a fiction, like most disciplines, to support a status of central planning elites. IMO what counts is what can be put on the dinner table.
Well, I bought one RU contract on the CME at 12 O'clock tonight; at .01440 basis March 2015. Kind of as a gesture of solidarity. There really should be some sort of reaction to this interest rate; assuming this is a functioning market and not just a playground for "speculators are us". I guess I'll find out. This is 69.44 Ru. per dollar whilst 70 has been suggested by various wise people as a support point.
I think this will happen, if oil drops to 40.
yeah, but nobody will take loans at 17% so how is capital going to find an idiot to pay that?
it's a pretty useless move other than trying to stabilize the currency
the credit market in Russia has now stopped completely
I smell a "compromise" on Syria, and a coalition government in place shortly.
Smells a lot like rotten eggs.
Raised rates from 10.5% to 17.0%???
Since when did Paul Volcker move to Russia???
Have you tried to borrow money in the United States lately?
I know people with perfect credit scores that cannot get a loan.
lies and bullshit... constant subprime bitching on this site and you come and say 800+ ratings can't get a fucking loan... you're a liar and a goddamned coward, fuck off
Well, yes, if I have an 800+ score but only an income of 30k, then no, I can't buy the $1million dollar cali home....Your argument makes no fucking sense. Please stop posting just to post.
you're one to talk... I personally know people who fit the profile you outlined that got the loan amount you specified... guess what, income isn't someone's only collateral, idiot
You sound like you just flew in from 2005, trying to buy a $1million dollar home with $30k income.
Rockin the 3 series with the check engine light on and Versace, talking about flipping your properties....
bay of pigs; recent loan with 800, fucking rolled out the red carpet and blow jobs to sign up(mortgage)...
Fuck you cocksucker. My buddy lives in Maui, retired, perfect credit, condo paid off and no bank out there will give him a mortgage.
I wish I was joking. I am not.
Maybe because Fukushima radiation has turned Hawaiian beachfront into a colon cancer hotspot? One hot particle down the gullet and that is all she wrote. Dead men pay no mortgage bills.
calling bullshit on this one...have family that lives there and 203k loans are flying off the shelves.....maybe your buddy is looking in the wrong places
Its been a few months now, but I know he tried several lenders. They all wanted more income or more of his assets as collateral.
Maybe things are going back to Full Retard in RE, I don't know.
Adverse selection. Banks who lend to older folks, on property that is owned free and clear, probably don't get any of their money back and instead get the asset. Think cancer or something similar.
To be honest, if I got a 6 month cancer diagnosis at 70, I would very much be in the "bring on the drugs, whores, and BBQ ribs" camp. Banks probably see a fair bit of this. Or they could transfer it, free and clear to trust funds, children, etc. Depends on values (and the presence of living children worth a pinch of coon shit).
Also, HI is a relatively small economy, so often times in these settings (trust me, I live in a small town in AK hundreds of miles from nowhere) there is simply outright collusion with professionals in certain disciplines. It is small enough, folks know each other well enough, so it can be bagged up relatively easily and they profit as a result.
You also don't know what terms your buddy wants or perhaps other material details.
Banks never pass up free money. But if the professionals are colluding and greedy, they are going to bust his balls or he goes without.
So, best of luck to your buddy.
Regards,
Cooter
Thanks bro....appreciate that comment.
Perfect credit score is irrevelant if you're living on a fixed/retirement income, especially if you're peddling a condo as collateral.
So they can't get a loan. That sucks for them but it also means that the cash that's waiting to be loaned out is not earning anything.
The 17% need to be earned somehow in the economy. Not sure what it's applied to but wherever this has been tried before, it has been a desaster for the economy.
Good luck earning the 17%
And therein lies the rub...lack of velocity and ZIRP crushing the real economy and savers.
How are Americans any better off going forward as real inflation eats their life savings away? I'm kind of stumped that everyone thinks only the Russians are hurting now. The US economy is in shambles.
This policy doesn't have to be for long, just long enough to shock speculators in a short squeeze. No warning, ouch!
This week should be interesting with lots of chatter about personel changes in CB and/or privatition.
Check out Saker's site for some decent gossip.
I get the impression Putin is probably thinking a few moves ahead. This is likely the first of several bold moves designed to "resolve" some of their issues.
Think oil pegged to the ruble for example. Think those FX traders with unlimited free money from the Bank of Japan and the Federal Reserve Bank aren't levered just a bit?
Who controls the supply of rubles?
Tighten up the cash supply a bit, then peg to oil, and watch the firewords.
This is a financial war after all, isn't it?
But that is often how they start.
This isn't over by a long shot ...
Regards,
Cooter
I wonder what that 17% turns out to be on your average revolving line based in china's new credit card system... right now, every credit card issuer in China just picked out a new yacht, or they're planning on going out of business, depending on how willing the people in Russia are to spend on credit.
The M.I.C. will borrow at any rate. W/Gov. war contracts, they can always get 50%-100% ROI...
Where were you in the 1980s?
It was tried in the United States; but I don't recall any particular disaster that resulted; say from 1982 to 1992; it was more like the defeat of accelerating inflationn and a healthy business cycle.
FWIW...I got offered $40K on a signature at 11.5 last month.
Perhaps you are swimming with pigs.
announcement extended duration of loans at 17% from 90 days to 549 DAYS!
This move is much more than a currency prop-up - it is a HUGE, LOUD statement against US
NoVa
Good; the credit market needs to stop. The idea that expanding credit mindlessly, endlessly until your currency is wiped out is very irresponsible. There is nothing normal about America's low interest rate; it is the equivalent of a junkie's cry for help.
The end of the Putin's regime became inevitable. The Russian Central Bank is under the total FED control.
The only question now wether a total collapse of Russian economy will follow by major political changes in Russia and/or potentially disintegration of Russia as a state.
The Putin's totally corrupt regime has brought the Russian society to its death knee. Now, it is just a matter of time before major changes will take place. Presently, it is difficult to predict how the game will play itself out. In any case, the Putin regime is for all practical purposes will be dead in a matter of next few weeks.
Unfortunately, very few Americans understand that Putin's control over Russia is no much stronger than Obama's control over America. Both are puppets of the ruling elites.
LOL!
Well Chevron just pulled out of it's $10 billion shale investment in the corrupt Ukraine puppet coountry of nazis and dual citizens.
http://www.liveleak.com/view?i=51a_1418680966
Mon Dec 15, 2014 4:44pm EST (Reuters) - Ukrainian Prime Minister Arseny Yatseniuk appealed to the European Union for urgent financial aid on Monday, saying the government was doing all it could to fix a shattered economy but needed help.
I'd say $15B should cover the loss AND the bribes.
http://www.reuters.com/article/2014/12/15/us-ukraine-crisis-yatseniuk-id...
+1 Ness. See below the Live Leak link. Looks like the Germans told him to get lost. Doing all to fix the shattered economy.
Yeah by shelling innocent people with artilerry and calling up endless drafts of Ukrainian boys, mena dn old men who do not want to take part in Yats genocide.
good find freddie
you are productive ZHr
easily offset the goats
Thanks Volk. My prayers are with the Russian people and the Ukranian people so they work together to rid Kiev of the evil.
Here is another one:
Looks like Yatsenuk went begging in Germany and they told him to get lost.
Oh and Medvedev said the Ukraine needs to pay it's bills to Russia now.
http://www.liveleak.com/view?i=fd5_1418687332
Good speech here by Igor Berkut
https://www.youtube.com/watch?v=EPADsoqc6AM
Publicus:
"[- - -] Then peg the ruble with the yuan. [- - -]"
My comments:
Bad idea. They would most likely have to defend that peg with higher interest rates. Chinese investments in Russia is a better idea.
Russia should probably also impose capital controls. Raising interest rates in order to prevent the currency from depreciating is extremely expensive.
A fiat peg to a fiat is just plain ol' vanilla maniuplation and about as anti-market as you can get.
Peg to something which can't be "printed" and fills the role of "money".
Peg to oil (petro dollar). Peg to gold (gold standard).
Simple!
Regards,
Cooter
"...peg the ruble with the dollar."
Eh, the yuan is, for practical purposes, pegged to the dollar, so you'd still have the ruble pegged to the dollar.
Putin has already put on import controls.
The devaluation to 100 was well underway in the free market.
Peg to Yuan which is pegged to the USD is just the same thing.
Now, choosing the Zim dollar for a peg would make a real difference.
Russia keeps buying gold.
A lot of <<Ahem>> 'Buck passing'?
Pun a minute Putin
communism works....doh
it seems there a few new gay rights wariors in pay of money masters here to wage a trolling against russia. the dark side surelly knows how to use at the same time nazis, human rights warriors, revolutionaries of all colours and creeds in its attempt to gain total control.
english is our preferred language
english is our preferred language
No, it's not. It takes one to know one...
one more copy and you'll get -52
.
Yes, you are correct. They are the she-man Putin haters, also known as fappars (fairies against President Putin and Russia).
It's easy to spot them. They are repeatedly frustrated in their attempts to criticize Putin by a lack of any credible supporting evidence. Their primitive minds then lash out with the only tool at their disposal: the fag hominem.
Their preoccupation with gayness and homoerotic fantasy is recognized by professional clinicians as an unconscious expression of their own repressed, retarded sexuality.
"---gay rights warriors---" also known as Liberals. They're in their seventh year of Feminist Studies at State College and live in Mom's basement.
Stoogie,
Putin must really appreciate your support of his government control by assination of opposition.
Expropriation of property and imprisonment of opponents has been successful in causing an economy to implode.
You should lookback a few years to the riots in Moscow for some idea of how Putin will fall. He may not be rewarded with the country home.
BTW, how is your turnip crop surviving the cold weather?
communism works...
Where? In Russia or in America?
.
The Russians are quite well aware that communism doesn't work. That's why they abandoned it nearly 25 years ago.
Hell, even the Chinese know it doesn't work, which is why they keep it around in name only.
The 'americans' don't even know what the hell it is, other than "not americanism", which is why they are simultaneously able to hate it viscerally while embracing it and clinging to it for all they're worth.
If they knew they were actually embracing fascism maybe they would...oh what the hell...fuck it, there's no Hope for at least 70% of the idiots we're surrounded with.
I learn that more and more every day. They are too stupid to help, they literally have no basis to understand concepts that should be inculcated every day through societal interactions, many of them hold supposedly advanced educations. Like Hitler said paraphrasing; you will pass, your children will grow up in the collective. Most guys my age are too damn soft to do shit anyway. I look forward to meeting our collectivist friends on a field one day.
Good luck nmewn
winter is russia's friend..ask nepoleon,ask hitler..germans & EU needs nat gas for winter..the west is just a hair too smart for it's own good. this is putin's trump card ..when will he play it??
communism was never a Russian construct.
i suggest russia,
to proclaim one-sided free trade with the whole world, cancel the sanctions for food, only keep the energy card in pocket
if you think this thru with the whole economic and political consequences, it is not that much lunatic
plus number of putin supporters in the west will at least quadruple
They already stopped importing food from US and EU (August 2014). Ahh they don't import oil/gas. They mine much of their metals, their RE's are from China, clothing/tech mostly from Asia ~~ U.S. military technology is pretty much the only thing they import from their enemies which consist of the US, most of the EU, UK, and the US oil/gas vassal states. Russia doesn't have many world enemies. Other then gold and oil, well capitalized, profitable, stable Russian stocks preferably those that offer ridiculously good dividends right now and shorting the USD/RUB are the best medium term plays out there. Crisis fear and blood breed incredible opportunities. Russia will be fine and is much much stronger then the market portrays and most believe. But as always one must allocate and hedge accordingly for WWWIII.
Bring on the Rentenruble. Kill speculation.
Hjalmar Schacht stopped the foreign speculators attack on the German Mark by substituting the Rentenmark which was only accepted in Germany and not Legal Tender for foreign transactions by pure speculators.
The Rentenmark was backed by land and other industrial hard assets , so was accepted for use by the German people. That ended the Weimar inflation and caused speculator losses among the foreign speculators because the Reichsbank refused to convert their "profits" of US Dollars bought with promise to pay in Marks, instead issuing only Rentenmarks for the USD. [The sellers of USD demanded payment in Marks, which were Legal Tender so good for international trade. The specs expected to pay by waiting until the Mark weakened, using some of their hi-valued USD to payoff their borrowings with cheapened Marks. Instead, the Reichsbank gave them 1 Rentenmarks per BILLION Marks ratio for their profferred USD.]
Thusly was the "carry-trade" smashed.
And thats why Russias external debt is in Dollars not Rubles anonnn so they cant do that.
Russia needs to realize that overtaking peaceful nations and attempting to reconstitute the Soviet Union's failure isn't going to work any longer.
I suggest Russia focus on developing a real economy. It's obviously failing as an oil exporter.
here you are
WARNING Amerikan Patriot is a troller check his history
He's also a butthurt Ukie fappar.
Stoogie,
Does Putin appreciate what you do with your long tongue?
Does he pay you in cabbages or turnips?
BS
Russia took over nobody.
Crimea succeeded from Ukraine after Kiev insanity
Georgia massacred civilians and Russian Peacekeepers
Nothing peaceful about nutcase drug addict Saakasvilli
Otherwise.....Chechen Wahabbi's? Better go troll Kavkaz Center for upvotes
stop importing so what if the people starve. defend the ruble, beat the evil USA
Completely unrealistic.
Well if they hold that rate, they attract investors (that have no interest investing at low yields in Euro or US-no pun intended). With German companies already doing business in RU, I see a clever move to attract investment and break sanctions.
RU maybe risky but at 17 vs. 4 for southern Eu junk....ummm
Pendragon....they should call you Pendejo!